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Swedish truckmaker Scania reported a 44 percent drop in fourth quarter net profits and sharp drop in new orders on Tuesday, at the same time the board recommended shareholders reject Porsche's takeover bid.

For the October to December quarter, the company said it recorded 1.5 billion kronor ($179 million) in net profits, down from 2.7 billion kronor for the same quarter a year earlier.

Orders for trucks meanwhile fell 91 percent to some 2,420 units, while deliveries slipped 18 percent to nearly 18,000 trucks during the quarter, the company said in a statement.

"The board of Scania unanimously recommends that shareholders do not accept the offer," it said, stressing that the trucking company was a "strong, well-positioned business" and the offer price was about 15 percent lower than the pre-offer price for the Swedish firm.

"The board believes that the offer does not reflect the long-term value of Scania."

When Porsche bid for Scania on January 19, it stressed that it had "no strategic interest" in the company and that the offer was merely a Swedish legal requirement following its acquisition of more than 50 percent of Volkswagen, which in turn owns more than 30 percent of Scania.

The German company offered the minimum price required by law for the truckmaker.